R&D in manufacturing
The UK has been at the forefront of new and developing technologies for decades, and the considerable support from the UK government in the form of R&D tax credits remains firm.
This is especially helpful in the case of manufacturing, a declining sector in the United Kingdom that could be spurred on by further development and greater technology.
More products can be made quickly, cheaply, and often autonomously, whereas they would have previously been difficult to manufacture in a way that would have kept British businesses competitive.
Aspects of manufacturing which are eligible for R&D
This is the process of developing a product that has exact specifications to target. The prototype has every aspect of the real product being presented to the market, simply on a smaller scale and made to order. Improvements in design and small-scale manufacture would mean higher quality prototypes, making more products go to the market, and ultimately growing the businesses who were able to invest more thanks to the R&D tax credits.
Reducing energy waste
Energy is vital to any manufacturing firm. It takes a lot of energy to not only manufacture the goods, but the overheads involved such as lighting, heating and the design process which take up a significant proportion of any organisation’s energy usage. Recent developments in energy-efficient lighting, heating, and more efficient production methods all act to reduce energy usage, and more steps can be made through R&D projects.
In the production process, any successful organisation will need to scale their production up to keep up with demand. In this regard, an increase in Research and Development would ensure that it would be easier and cheaper to increase production levels and ultimately profitability. In this regard, manufacturing could be significantly increased and made more effective, in part thanks to these tax credits. Furthermore, efficiency could also be found in terms of resources, pushing the overall cost per unit down.
Most production companies in the UK employ autonomous machinery in production. Whether self-driving trucks to move ores around in coal mines, robotic arms putting together pieces of a car or a simple machine to cut biscuits to the right shape, all of these creations were a result of increasingly complicated R&D projects, which can only be further encouraged by tax credits which will make these R&D projects ever cheaper.